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Austin City Council approves consent agenda, including $183,000 settlement in Austin Energy crash case

Austin City Council · December 11, 2025
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Summary

At its Dec. 11 meeting the Austin City Council adopted the consent agenda and approved a recommended $183,000 settlement in Melendez et al. v. City of Austin involving an Austin Energy vehicle; council also included a direction to study towing rate structures.

The Austin City Council on Dec. 11 adopted its consent agenda as read and approved a recommended settlement payment totaling $183,000 in Melendez et al. v. City of Austin, a personal-injury lawsuit arising from a March 2023 collision involving an Austin Energy vehicle.

Assistant City Attorney Jeremy Thompson told the council the proposed payment would resolve claims by Juana Carreon Melendez (individually and as next friend of EL and DL, minors) and Eduardo Luna and would include dismissal of the case filed in Travis County. "We recommend that you approve a payment totaling $183,000 to settle" the lawsuit, Thompson said during the council meeting.

Councilmember Morales moved to adopt the consent agenda as read; Councilmember Velasquez seconded the motion. The consent motion also incorporated direction from Councilmember Alter to the city manager to conduct a study of towing rates and rate structures under item 68, which the mayor said would be included in the motion as written in council backup.

The mayor opened the floor to discussion before the vote; several councilmembers spoke in favor of specific consent items, including programs at the Austin Animal Center and multiple homelessness-related investments. The consent agenda was adopted with recorded 'no' votes on a small number of listed items.

The settlement approval represents a formal council action resolving the named civil claim against the city and Austin Energy. According to legal counsel, in exchange for the payment the plaintiffs will release any and all claims arising from the accident and dismiss the pending case.

Next steps: the settlement will be processed in accordance with the city attorney’s office recommendation and the consent-adopted direction for the towing-rate study will move to staff for analysis.